By SHR Media Staff

WASHINGTON, D.C. — President Donald Trump announced new agreements with major pharmaceutical companies on Friday to dramatically lower the cost of GLP-1 weight loss medications such as Ozempic and Wegovy while expanding coverage for obesity treatment under Medicare and Medicaid.

The Deal

The announcement, made in the Oval Office, included executives from Novo Nordisk and Eli Lilly, the two leading manufacturers of the popular drugs. Under the new agreements, consumer prices will be reduced by as much as 80 percent, expanding access to millions of Americans who previously could not afford the treatments.

Trump said the deal was part of his administration’s plan to deliver “most favored nation” pricing for prescription drugs, ensuring Americans pay no more than patients in other developed countries. He also announced the creation of a new patient access program called TrumpRx, which will distribute the lower-cost medications directly to consumers beginning early next year.

Coverage Cost

The plan caps Medicare co-pays at $50 per month and expands obesity treatment coverage under both Medicare and Medicaid programs for the first time. Officials said the initial rollout will prioritize seniors, low-income patients, and those with chronic health conditions related to obesity.

The agreement includes multi-billion dollar commitments from the drugmakers to expand U.S. manufacturing. Novo Nordisk is expected to invest more than $10 billion to boost domestic production while Eli Lilly will increase stateside capacity to meet new demand.

Administration officials said the initiative will strengthen U.S. supply chains and reduce dependency on foreign pharmaceutical manufacturing.

Trump called the plan “the biggest reduction in drug prices in American history” and said more actions are coming to make prescription drugs affordable for every American.

The Analysis

Healthcare analysts say the move could reshape access to weight loss treatments, a market previously dominated by high prices and limited insurance coverage. The agreements could also influence broader pricing negotiations for other high-demand prescription drugs.

The Trump administration said the reduced pricing and expanded coverage will begin implementation in early 2026 with full rollout expected later that year.

Written by SHR Media Staff

Sources:
• Associated Press – Trump unveils deal to expand coverage and lower costs on obesity drugs
• Reuters – Novo Nordisk, Lilly strike deal with Trump to slash weight-loss drug prices
• Washington Post – Trump announces deal to lower Ozempic and Wegovy prices
• Investopedia – Medicare to cover GLP-1 drugs for as little as $50 a month under Trump plan

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